How Would HUD Programs Fare Under Sequestration?

Yesterday, the Senate passed the Sequestration Transparency Act of 2012. The legislation, passed by the House earlier this month, requires President Obama to detail how the administration plans to implement the budget sequestration cuts scheduled to take place in January 2013 under current law.

The Budget Control Act imposed caps that will reduce funding for discretionary programs by more than $1 trillion between 2012 and 2021. The law also established a sequestration procedure that will apply automatic cuts starting in January 2013 but does not specify exactly how they will be executed, hence the Sequestration Transparency Act.

Most estimates are that the across-the-board cuts will mean about an 8.4 percent cut in most affected non-defense discretionary programs for 2013.

This table shows what an 8.4% cut applied across the board to selected HUD programs would look like:

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Clearly, as the Administration hasn’t publicly discussed its plans for implementing the sequestration provisions of the Budget Control Act these figures are purely speculation.

How do you think sequestration would affect the HUD budget? Please post your comments and ideas below.